TransCanada has a Plan to Increase Midwest Gas Prices
With opposition to the Keystone XL pipeline growing, the National Wildlife Federation has uncovered plans from TransCanada to raise oil prices as high as 15 cents per gallon in the Midwest. Wildlife Promise, a blog from the National Wildlife Federation, posted a document that describes how TransCanada plans to divert oil to Texas, from the Midwest to drive up oil prices.
As Canadian oil imports are shifted from the Midwest to Texas, oil supplies to Midwest refiners will decline. According to TransCanada’s analysis: “Midwest demand for Canadian heavy crude would exceed the available supply and the market price …would be approximately $6.55 per barrel above the 2008 price.” $6.55 per barrel is roughly equal to 15 cents per gallon.
Currently, TransCanada is awaiting approval for the international pipeline from Secretary of State Hillary Clinton.